Public Liability Insurance

How Does Public Liability Insurance Protect Your Business?

If you own a business, you should make sure you have comprehensive insurance that offers all of the cover you need to keep your business protected against the unexpected. If you do not already have Public Liability Insurance then it is something you should look into to see if it could benefit your business. Many business owners are required to carry minimum limits of third party liability insurance to operate, this depends on the business sector you reside in. These requirements are designed to protect both the business and the business customers. You should understand how Public Liability Insurance works and what it covers to make sure you are adequately protected.

What Does Third Party Insurance Cover?

Just like the name entails, third party insurance will pay for injuries caused to a third party. If you own a theater, a service centre, or a retail store, customers visit your establishment on a regular basis. If the customer is hurt at your establishment and they claim you are negligent for their injuries, they have the right to go after your company to recoup losses. If you do not have liability insurance or you do not have enough coverage, the money the claimant is awarded will come straight out of your business. This is why you need to review your insurance cover and assess your needs on an annual basis.

What Types of Injuries Are Covered?

A variety of different types of claims are covered by Public Liability Insurance. If a customer that is not employed by your business visits your establishment and they slip and fall on a floor that is wet or not properly maintained, you liability insurance will cover the judgement or settlement. If you are performing work on your building and the machinery being used injures someone, this will also be covered by your policy. Public liability insurance does not provide coverage for intentional injuries. The claimant must prove that the business is negligent for their injuries. Any injuries sustained by an employee would fall under a different type of insurance cover called Worker’s Compensation.

What Else Does Public Liability Insurance Cover?

As you may know, the world is full of litigious-minded people. There are people just waiting for their opportunity to file a claim against a multi-million dollar corporation. These people often feel like taking money from a corporation is not hurting anyone. If you want to protect yourself against people looking for lawsuits to file, you must have third party liability insurance. This policy will not only pay for founded claims, it will also protect you against unfounded ones. The insurer providing you with cover will pay for legal representation to defend you against claims that are both true or untrue. If you do not have this cover and you try to defend yourself, you could spend a lot of money defending yourself.

Business owners must protect their interests. If you are not sure what type of insurance you are carrying, it is time to sit down with your insurance agent to review your policies. Make sure you bind adequate limits and get the peace of mind you need.